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New India Assurance Co. Ltd vs Fathima
2023 Latest Caselaw 10810 Mad

Citation : 2023 Latest Caselaw 10810 Mad
Judgement Date : 21 August, 2023

Madras High Court
New India Assurance Co. Ltd vs Fathima on 21 August, 2023
                                                                                C.M.A.No.1898 of 2023

                                   THE HIGH COURT OF JUDICATURE AT MADRAS
                                                    DATED: 21.08.2023
                                                        CORAM:
                                  THE HONOURABLE MR JUSTICE R.SUBRAMANIAN
                                                   AND
                                   THE HONOURABLE MRS JUSTICE R.KALAIMATHI

                                                  C.M.A.No.1898 of 2023
                                                           and
                                                  C.M.P.No.18474 of 2023

                     New India Assurance Co. Ltd.,
                     Issuing Office at Sharon Building,
                     161, A, East Veli Street,
                     Madurai – 625 001.                                               ...Appellant

                                                           Vs.

                     1.Fathima
                     2.Sheik Ahamed
                     3.P.Anguraj
                     4.S.Susila                                                    ...Respondents


                     Prayer: Civil Miscellaneous Appeal filed under Section 173 of the Motor
                     Vehicles Act, 1988, against the judgment and decree dated 04.01.2023 made
                     in MCOP.No.46 of 2016 on the file of the Motor Accident Claims Tribunal
                     (III-Additional District Judge, Tiruppur) at Dharapuram.
                                  For Appellant      : C. Ramesh Babu
                                  For R1 & R2        : Ms.Adhishree Manokaran -Caveator



                     1/8


https://www.mhc.tn.gov.in/judis
                                                                                   C.M.A.No.1898 of 2023

                                                      JUDGMENT

(Judgment of the Court was made by R.SUBRAMANIAN, J.)

The Insurance Company is on appeal. Challenge is to the award

of the Motor Accident Claims Tribunal, Dharapuram made in MCOP.No.46

of 2016 dated 04.01.2023.

2.The claimants are the parents of the deceased. They sought for

compensation of Rs.17,00,000/- for the death of their son Sheik

Mohammed, aged about 23 years in a road accident that occurred on

09.07.2015 at about 4.30 p.m. According to the claimants, when the

deceased was driving the TATA Ace goods vehicle bearing Registration

No.TN-33-AL-7571 on the extreme left side of the Kangayam-Erode main

road, the lorry bearing Registration No.TN-61-A-9448 driven in a rash and

negligent manner by its driver came in the opposite direction and collided

against the goods vehicle causing the death of the driver. Contending that

their son was earning a sum of Rs.10,000/- per month, the parents sought for

a compensation of Rs.17,00,000/-. A First Information Report was

registered against the driver of the lorry.

https://www.mhc.tn.gov.in/judis C.M.A.No.1898 of 2023

3.The claim was resisted by the Insurance Company contending

that the accident did not occur in the manner suggested by the claimants. It

was claimed that the deceased was responsible for the accident and as it was

his negligence that caused the accident. At trial, the mother of the deceased

was examined as P.W.1. One Palanisamygounder and Sankar were

examined as P.W.2 and P.W.3. Exs.P1 to P32 were marked. On the side of

the Insurance Company one Rajan Babu was examined as R.W.1 and

Tmt.Jamuna was examined as R.W.2. Exs.R1 to R4 were marked. R4 is the

copy of the charge sheet.

4.On examination of the evidence that was placed before the

Tribunal, it came to the conclusion that the deceased had also contributed to

the accident to a certain extent. Though the Section 161 statement was

made against the deceased, the Tribunal, on appreciation of the evidence of

the eye-witnesses, fixed the quantum of negligence on the deceased at 20%.

A salary certificate was produced to show that the deceased was earning

Rs.17,000/- per month. The Tribunal took the monthly income at

Rs.12,000/-, since Rs.5,000/- was shown as loading and unloading

https://www.mhc.tn.gov.in/judis C.M.A.No.1898 of 2023

commission/batta. The Tribunal added 50% towards future prospects. The

deceased being a bachelor, it deducted 50% towards personal expenses and

arrived at the monthly loss of income at Rs.12,000/-. It adopted multiplier

of 18, since the deceased was aged about 23 years and arrived at the total

loss of income at Rs.25,92,000/-. The Tribunal added Rs.16,500/- each

towards funeral expenses and loss of estate and Rs.88,000/- towards loss of

filial consortium. Thus, the total compensation was arrived at

Rs.27,13,000/- and after deducting 20% towards contributory negligence,

the Tribunal granted a sum of Rs.21,70,400/- as compensation. Aggrieved,

the Insurance Company is on appeal.

5.We have heard Mr.C.Ramesh Babu, learned counsel for the

appellant.

6.The learned counsel for the appellant / Insurance Company

would point out that the Tribunal ought to have adopted future prospects

only at 40% and not 50%, since the deceased was employed in a private

concern. We find that the salary certificate of the deceased has been

https://www.mhc.tn.gov.in/judis C.M.A.No.1898 of 2023

produced and supporting documents like payment of GST and Value Added

Tax have also been produced. The Tribunal has taken only a portion of the

income. The remaining amount of Rs.5,000/- that has been disallowed by

the Tribunal. Loading and unloading commission may not be a constant

figure, but the deceased would have earned some amount towards Batta

every month. We are therefore, unable to approve the action of the Tribunal

in omitting that part of the income totally and taking only Rs.12,000/- per

month. True, the adoption of 50% towards future prospects may not be

correct. The Hon'ble Supreme Court in National Insurance Company

Limited Vs. Pranay Sethi and Others reported in (2017) 16 SCC 680 has

held that 50% future prospects can be adopted only for persons, who are in

permanent job.

7.Even though such adoption of 50% is on the higher side, we

find that the Tribunal has taken the monthly income at Rs.12,000/-, which in

our opinon, is very low, even considering the salaries that were drawn by

the last grade employees working in Government at the relevant point of

time. Even though we are unable to approve the action of the Tribunal in

https://www.mhc.tn.gov.in/judis C.M.A.No.1898 of 2023

adopting 50% increase towards future prospects, we find that the overall

compensation is just and reasonable. We therefore, do not see any reason to

interfere with the award. This Civil Miscellaneous Appeal therefore, fails

and it is accordingly, dismissed. No costs. Consequently, connected

miscellaneous petition is closed.

                                                                  (R.S.M.,J.)     (R.K.M.,J.)
                                                                          21.08.2023
                     kkn

                     Internet:Yes/No
                     Index:Yes/No
                     Speaking/Non-speaking
                     Nuetral Citation : Yes/No







https://www.mhc.tn.gov.in/judis
                                                           C.M.A.No.1898 of 2023




                     To:-

                     The Motor Accident Claims Tribunal,
                     III-Additional District Court,
                     Dharapuram.







https://www.mhc.tn.gov.in/judis
                                        C.M.A.No.1898 of 2023




                                  R.SUBRAMANIAN, J.
                                               and
                                    R.KALAIMATHI, J.

                                                      KKN




                                  C.M.A.No.1898 of 2023
                                                     and
                                  C.M.P.No.18474 of 2023




                                               21.08.2023







https://www.mhc.tn.gov.in/judis

 
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